Standard PVP holding Cyprus credit rating and outlook unchanged

Xinhua News Agency, Nicosia, March 17 (Reporter Zhang Zhang) – International credit rating agency Standard & Poor's recently released report, the Cyprus sovereign credit rating remains at "BB +", rating outlook maintained at "positive", but also pointed out that Cypriot economy risk high proportion of bad loans。
According to Cypriot news agency quoted the report, 17 reported growth in Cyprus last year 3.9% this year is expected to grow 3.3%, government debt is reduced, these factors make the country's credit rating is maintained。 If you plug the economic recovery and macroeconomic policies that encourage government and private debt further reduced, the S & P is expected later this year will Cypriot sovereign credit rating raised to investment grade。
But the report also pointed out that the high non-performing loans so that the plug is still fragile banking sector。
If the plug significantly lower than expected economic growth, economic over-reliance on construction and tourism industries, reduce government debt slowed, financial institutions or the emergence of new risks, the plug rating may be lowered outlook from "positive" to "stable"。
According to local media reports, Cyprus banking bad loans of up to about 20 billion euros, accounting for 43% of all loans。 March 2013, the Government of Cyprus and the international aid agencies to reach 10 billion euros bailout agreement。
Cyprus bailout agreement in accordance with the domestic economy has been adjusted, and in mid-2015 to achieve 1.6% economic growth。 March 31, 2016, Cyprus bailout exit。 +1。